09 Sep 2025 | News & Feature

FX Reserves: Tightrope walk

  • Indonesia's FX reserves declined to USD 150.7 Bn in August despite net capital inflows.
  • The primary cause was BI's intervention to stabilize the Rupiah amidst capital outflows during August protests.
  • The Rupiah faces future challenges and volatility, making a BI rate cut in September 50:50 despite the rising need for economic easing.